MATH 4229 Course Outline

Math 4229 – Actuarial Science IIB

Required Text book: ASM Study Manual for Exam LTAM, by Abraham Weishaus, 1st Edition, 2nd Printing

Course Content: Math 4229 is the continuation of Math 4228. It is the second of two preparatory courses for the SOA Actuarial Exam LTAM – Long Term Actuarial Models. It covers the topics listed below which are required for Exam LTAM but were not covered in Math 4228.

I. Reserves
1. Net Premium Reserve
2. Gross Premium Reserve and Expense Reserve
3. Special Formulas for Whole Life and Endowment Insurance
4. Variance of Loss
5. Recursive Formulas

II. Markov Chains
6. Discrete Probabilities
7. Continuous Probabilities
8. Premiums and Reserves

III. Multiple Decrements
9. Probabilities and Discrete Insurances
10. Forces of Decrements
11. Associated Single Decrement Tables
12. Relations Between Rates
13. Continuous Insurances

IV. Multiple Lives
14. Joint Life Probabilities
15. Last Survivor Probabilities
16. Moments
17. Contingent Probabilities
18. Common Shock
19. Insurances and Annuities

V. Estimating Mortality Rates
20. Estimator Quality and Confidence Intervals
21. The Empirical Distribution for Complete Data
22. Maximum Likelihood Estimators
23. Kaplan-Meier and Nelson-Aalen Estimators
24. Mortality Table Construction